Measuring Customer Satisfaction

Measuring Customer Satisfaction:
How to Retain Current Customer Base While Attracting New Ones GM 588
January 23, 2011

Measuring Customer Satisfaction: How to Retain Current Customer Base While Attracting New OnesIn the wake of current economic decline, organizations clearly understand the need for good customer relations. Consumers are paying strict attention to the quality, cost and availability of the products they desire. Moreover, consumers are watching the business practices of the organizations that provide them with goods and services. Organizations understand that in order to be profitable they need to create and maintain a wholesome customer base and in order to do this the customer has to be satisfied. When measuring the quality of an organization’s goods and services, customer satisfaction predicts whether they retain their current customer base. At the very least organizations want to maintain current customers because adding new ones can be costly. Organizations need to know what expectations their customers have of their services and products, the effectiveness of their marketing strategies, the strength of their company's image, as well as the key elements that most heavily influence customer retention for their business (Importance of Customer Feedback, 2011). This paper will explore what best practices such as customer feedback and evaluations, customer satisfaction, market analysis, service analysis and marketing strategic planning organizations are using to measure customer satisfaction in order to keep their loyal customers while adding new ones. Customer Feedback and Evaluations

Organizations are listening to and acting on what their customers are saying by using customer feedback and evaluations tools to improve their company’s success. They using this to stay in sync with their customers’ wants and demands of the goods and services they provide. Companies understand by tailoring their goods and services to meet the...

You May Also Find These Documents Helpful

...Best practices for measuringcustomersatisfaction? Is it upper level management, hired consultants, surveys, or reactions to industry swing? So many choices but what really is a best practice. Customersatisfaction programs, research, employee satisfaction, and personal experience all play a role in measuringcustomersatisfaction. Even when using those practices it takes effort and continuous improvement to stand a chance on improving customer engagement and satisfaction. Hopefully these next few paragraphs can add some insight on measuring results.
The problem companies face, is exactly how to and do it well. Companies need to understand how to quantify, measure and track customersatisfaction. Without a clear and accurate sense of what needs to be measured and how to collect, analyze and use the data as a major strategic focus to achieve business success, no firm can be effective in satisfying customer to drive business.[i] Plans must be constructed using customersatisfaction research results and design a strategy that target customers and/or processes that add to the bottom line. The last thing a company should do is not take action, there is collateral damage in asking (resources and time)...

...﻿
CHAPTER 5:
Focusing on Customer
(Review Questions)
Submitted by:
Frances Marie Perez
Dan Kenneth Reyes
1. Explain the difference between satisfaction and loyalty. Why is loyalty more important?
Customer loyalty is unnerving and unswerving; it cannot easily be changed, even in the face of remarkably changed situations. Customersatisfaction on the other hand is immensely fickle, and can change dramatically, even with the slightest of changes in situations. Loyalty is the willingness to make an investment.
2. What is Consumer Benefit Package? Why is it important in understanding satisfaction and loyalty?
Consumer Benefit Package is the total package of products and services that a business offers with the price. Loyalty is one of the most important indicators of good performing companies. Satisfaction is directly linked to customer loyalty it is evident that measuringcustomersatisfaction without taking customer loyalty into account and vice versa would be misleading.
3. Describe the model used in computing the American CustomerSatisfaction Index. How might a business use the information from the ACSI database?
Used to produce ACSI links customersatisfaction to its determinants: customer...

...ASSIGNMENT
WHITE PAPER
IMPROVING CUSTOMER SERVICE
SUBMITTED BY: VARUN AGGARWAL
CONTENTS
1.INTRODUCTION
2.MEASURINGCUSTOMERSATISFACTION
3.METHODOLOGIES
4.IMPROVING CUSTOMER SERVICES
5.HOW CUSTOMER SERVICE AFFECTS BUSINESS SUCCESS
6.REFERENCES AND BIBLIOGRAPHY
METHODOLOGIES
DIFFERENT TYPES OF STUDIES
American CustomerSatisfaction Index (ACSI) is a scientific standard of customersatisfaction. Increasing ACSI scores has been shown to predict loyalty, word-of-mouth recommendations, and purchase behaviour. The ACSI measures customersatisfaction annually for more than 200 companies in 43 industries and 10 economic sectors. ASCI scores have also been calculated by independent researchers, for example, for the mobile phones sector, higher education, and electronic mail.
The Kano model is a theory of product development and customersatisfaction developed in the 1980s by Professor Noriaki Kano that classifies customer preferences into five categories: Attractive, One-Dimensional, Must-Be, Indifferent, Reverse. The Kano model offers some insight into the product attributes which are perceived to be important to customers. Kano also produced a methodology for mapping consumer responses to questionnaires onto his model.
SERVQUAL or...

...Question 1
Excellence in customer service is the objective of all organisations wishing to be successful. However, there is often a gap between customer expectations and management perceptions of customer expectations. Organisations often fail to get close to their customers and correctly read their expectations.
Other reasons for customer service problems include:
* not listening to or collecting information from customers
* poor, or no, focus on the actual design of processes to turn identified customer needs into products and services
* gaps between what the organisation intends to produce for its customers and what its systems do actually produce
* gaps between what the system is intended to deliver for customers and what it actually does deliver
* cost constraints, or failure to set and meet realistic performance standards, which affect what the organisation can actually deliver
* poor staff attitudes, training levels and working materials
* gaps between what salespeople promise and the actual service or product quality
Source: Zeithaml, Parasuraman &amp; Berry (1990)
In approximately 2000 words comment on these statements.
By implementing customer feedback strategies, the organisation will be able to discover the company's strengths and potential weaknesses, as set by the actual...

...MeasuringCustomerSatisfaction at ImageStream
Statement of the Problem, Research Question and Purpose
ImageStream Internet Solutions, Inc. is a privately held company in its 9th year of operation. ImageStream engineers, manufactures, and distributes Linux-based routing products for network and Internet applications. ImageStream products are used by Internet service providers (ISPs), governments, schools, and businesses in more than 75 countries around the world. As ImageStream moves toward its next decade, market forces require it, like most high technology companies, to be fast and responsive. The company faces constant change in demands and needs along with the pressures of mission creep in the face of limited resources. It is against this backdrop that ImageStream started its ISO 9000:2000 certification process. This process requires not only the implementation of quality processes, but measurement of their efficacy as well.
ImageStream conducts key manager meetings twice monthly, and a company-wide review on a semi-annual basis. During these managerial and company reviews, the senior executives identify key metrics driving the success of the company's mission, including those metrics that would benefit most from significant improvement. This proposal outlines the use of a customersatisfaction survey and seeks to answer the management question: What is the current customer...

...CustomerSatisfaction & how can we measure it
By: Omid Nasrollah Mazandarani
BACKGROUND OF THE WRITER
As a student of Masters of Business Administration specialization in general management with the background of Bachelor of Industrial engineering the writer has four years experiences in the automobile industry. These experiences and background help me to understand the role of customersatisfaction in terms of organization profitability.
Abstract:
This proposal examines customersatisfaction models for assessing the relationship of overall satisfaction with a product or service and satisfaction with specific aspects of the product or service for organizations having multiple units or subunits. These units could be stores, markets, dealers, divisions, and so on. The authors suggest a method for studying whether the drivers of overall satisfaction vary across such units. For cases where the drivers do vary across subunits, they show how additional variables can be included in a model to account for the variation. The authors illustrate this approach by studying customersatisfaction in the newspaper and health care industries. They use generalizability theory to evaluate the reliability of scales from multistage cluster sample designs. It is argued that the approach has important implications for both...

...A STUDY ON THE CUSTOMERSATISFACTION OF
BIG BAZAAR WITH SPECIAL REFERENCE
TO PAZHAVANGADI STORE
PROJECT REPORT
Submitted to Amrita Vishwa Vidyapeetham, School of Arts &amp; Sciences for fulfillment of the requirement for the award of the Degree of Bachelor of Business Management.
BY
ASWATHY
ACKNOLWLEDGEMENT
I use it as it privilege to thank Mr.Bijith, HR, Big Bazaar Pazhavangadi and Mr.Satheesh.DM of Electronics Department for giving me and guidance to do this project in the organization.
I express my heart full thanks all staff and employees who helped me to do the project work in Big Bazaar.
I would like to express my sincere thanks to do this project under the guidance of Miss.Renjini (Faculty Guide) Amrita School of Arts &amp; Sciences.
I express my sincere thanks to all the persons who kindly responded to my survey.
I also express my thanks to Mr.Mahendran (Recruitment Officer) Amrita Vishwavidyapeetham, Amritapuri campus for acting as a stepping stone to my project.
Above all and thankful to the God almighty who enabled me to complete the work successfully.
ASWATHY S PRADEEP
DECLERATION
I declare the project report entitled "CUSTOMERSATISFACTION AT BIG BAZAAR" submitted by me for the award of Degree of BBM of Amrita University is my own work.
The report has not been submitted for the award of any other...